Arizona Real Estate License Practice Exam 2025 - Free Real Estate Practice Questions and Study Guide

The ownership described in the question refers to a property owned as a unit in fee simple while also having rights to a common area, which characterizes condominium ownership. In a condominium setting, individual units are owned in fee simple, granting the owner full title, while the common areas, such as hallways, pools, or gyms, are jointly owned by all unit owners, typically through an association that manages these shared spaces and amenities.

In contrast, the other types of ownership mentioned do not fit this definition. Cooperative ownership involves owning shares in a corporation that owns the property, giving the shareholder the right to occupy a unit but not owning the unit itself. Chattel real refers to personal property that relates to real estate, such as leases, rather than real property ownership. A timeshare involves a shared ownership model that allows multiple parties to own the right to use a property for a specific period each year, distinct from the full fee simple ownership of a unit in a condominium.

By understanding this distinction, it becomes clear why condominium is the correct term for ownership that combines fee simple ownership of an individual unit with shared rights in common areas.